Library Progress International Print version ISSN 0970 1052
Vol.44 No.3, Jul-Dec 2024: P.4396-4402 Online version ISSN 2320 317X
Original Article Available online at www.bpasjournals.com
A Comparative Analysis of Consumer Behaviour in OTT (Over-The-Top)
Streaming Services and Traditional Cinema
Manasi Shah and Ronit Doshi
SIES College of Commerce and Economics (Autonomous), Mumbai, India
ronitdoshi22@gmail.com
How to cite this article: Manasi Shah, Ronit Doshi (2024). A Comparative Analysis of Consumer Behaviour in
OTT (Over-The-Top) Streaming Services and Traditional Cinema Library Progress International, 44(3), 4396-
4402.
ABSTRACT
This paper conducts a comparative analysis of consumer behavior between ott (over-the-top) streaming services
and traditional cinema, exploring the shifting dynamics of entertainment consumption in the digital age. As
platforms like netflix and amazon prime video gain prominence alongside traditional cinema venues,
understanding the differences in consumer preferences and engagement becomes increasingly relevant. Through
an in-depth examination of various factors such as convenience, accessibility, cost-effectiveness, and
personalized viewing experiences, this study investigates why audiences gravitate towards ott platforms over
traditional cinemas. Additionally, it assesses the impact of these changing consumer behaviors on the traditional
film industry, analyzing implications for audience demographics, viewing habits, and market trends.
Keywords: OTT, Online Media, Films, OTT V/S Films, Cinema, Consumer Behaviour
INTRODUCTION
With the rise of Over-the-Top (OTT) platforms and the continued existence of conventional movie theaters, the
entertainment industry is undergoing a significant transformation. This change has started a convincing
discussion pitting the comfort and openness of OTT stages against the vivid experience and shared climate of
films. Netflix, Amazon Prime Video, and Disney+ are just a few of the OTT platforms that have made it easier
for anyone to access a wide range of content. As a result, viewers can watch movies and TV shows whenever
and wherever they want. Then again, films offer a remarkably realistic encounter, with cutting edge innovation,
amazing screens, and sound frameworks that transport crowds into the core of the story. The competition
between OTT platforms and cinemas has become more nuanced as technology advances and consumer
preferences change. This raises questions about the future of movie-watching habits, the viability of theatrical
releases, and the overall impact on the entertainment ecosystem. This paper dives into the multi-layered
correlation between OTT stages and films, investigating their separate assets, shortcomings, and the advancing
elements molding the amusement scene in the computerized age.
LITERATURE REVIEW
1. The Impact of Ott Platforms on the Short Film Genre
Gupta, Sharan. 2022.The paper talks about how short films have become really popular lately, especially
because they're a quick way for filmmakers to share their ideas about what's happening in the world. When big
things happen, like the COVID-19 pandemic or social movements, short films are a way for people to talk about
it and share their thoughts. And it's cool because now, with smartphones having really good cameras, almost
anyone can make a short film.
It also talks about who makes short films, which is basically anyone who has a story to tell. Even famous
directors like Martin Scorsese and Christopher Nolan started with short films. And these days, you can watch
short films on platforms like YouTube and Netflix, which is awesome because it means more people can see
them.
2. The Impact of Ott Platforms on the Short Film Genre
Gupta, Sharan. 2022. Short films are gaining popularity due to their ability to offer filmmakers creative
freedom and a platform for addressing pressing social issues. Enabled by technological advancements and the
widespread availability of smartphones, these films provide a concise yet impactful medium for storytelling.
Many renowned directors, such as Martin Scorsese and Christopher Nolan, began their careers with short films,
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underscoring their significance as a stepping stone for emerging talent. Streaming platforms like Netflix,
YouTube, and Vimeo play a crucial role in distributing short films, offering filmmakers a platform to showcase
their work to a global audience.
3. Rise of OTT Platforms: Effect of the C-19 Pandemic
Ria Patnaik et.al 2021
The COVID-19 pandemic changed how people in India enjoy entertainment. Instead of going out to the movies,
many started using streaming services like Netflix and Amazon Prime Video more often. This research looks at
why these streaming services became so popular during the pandemic and what this means for the future of
entertainment. It found that lots of people, from young to old, started watching more shows and movies on these
platforms. They preferred watching movies on streaming services rather than going to theaters, especially if they
could watch new movies at home at the same time they were released in theaters. This study used a survey to
ask people aged 14 to 45 about their habits and opinions about streaming services. Overall, it showed that
streaming services have a bright future in the entertainment industry, but there are still questions about how
they'll make money and what this means for traditional ways of watching movies.
OTT vs. Cinemas: The Future Trend in the Movie and Entertainment Sector Aishwary et.al, 2022
The document examines the shift in content consumption from traditional cinemas to Over the Top (OTT)
platforms, such as Netflix and Amazon Prime Video, and its subsequent impact on the entertainment industry. It
presents findings from a survey of 107 respondents, revealing a marked preference for OTT platforms over
cinemas, driven by factors such as content variety, convenience, and pricing. Additionally, the research delves
into the rise of OTT platforms in India, highlighting the significant role of internet and smartphone proliferation.
It also explores future trends within the entertainment sector. The study concludes that while OTT platforms are
increasingly favored over cinemas due to their convenience and pricing, the unique, exclusive experiences
offered by cinemas continue to hold significant appeal.
OTT Viewership and Pandemic: A Study on New Trends of online video content and cinema hall
footfalls.Dr. Gajendra et.al, 2022
The paper examines the impact of the COVID-19 pandemic on viewership habits and cinema attendance in
India, with a particular focus on the rise of Over The Top (OTT) video streaming platforms. It investigates
factors such as the time spent on OTT platforms, the preference for OTT over traditional cinema halls, and the
effect on collective movie-watching habits. The study concludes that OTT platforms have significantly affected
traditional media outlets, including television and cinema halls, potentially leading to a decrease in future
cinema attendance.
Furthermore, the research incorporates the use and gratification theory and technological determinism to better
understand the evolving media landscape. The findings underscore the importance of adapting to changing
consumer needs and developing strategies to address the challenges posed by OTT platforms to cinema hall
operators.
OBJECTIVES
1. To investigate the differences in consumption between OTT streaming services and traditional cinema.
2. To analyze the impact of OTT platforms on the traditional film industry in terms of content creation,
audience engagement, and revenue generation.
3. To examine the factors driving audience preferences for content on OTT platforms versus traditional cinema.
4. To assess the role of technology, globalization, and cultural factors in shaping content trends across OTT and
traditional film platforms.
NEED FOR STUDY
The rapid expansion of OTT (Over-the-Top) streaming services in recent years has fundamentally transformed
the landscape of the entertainment industry. With platforms like Netflix, Amazon Prime Video, Disney+, and
others gaining widespread popularity, there is a growing need to understand the implications of this shift on
traditional modes of content consumption, particularly in the context of cinema.
Studying the differences in consumption patterns between OTT platforms and traditional cinemas is crucial for
understanding changing audience preferences and behaviors. As more viewers turn to OTT platforms for their
entertainment needs, it is essential to explore the factors driving this trend and how it impacts the overall
consumption ecosystem. This understanding can help stakeholders in the film industry, including filmmakers,
producers, distributors, and exhibitors, adapt their strategies to better cater to evolving audience demands.
Analyzing the impact of OTT platforms on the traditional film industry is essential for assessing the
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sustainability and competitiveness of existing business models. OTT platforms have disrupted traditional
distribution channels and revenue streams, posing both challenges and opportunities for industry players.
METHODOLOGY
The research conducted on this topic employs qualitative methods, encompassing factors such as the average
price of movies, expenditures on OTT platforms, and the quality of content across both mediums. This study
represents basic, pure research, intended solely for academic purposes. To enhance the relevance and rigor of
the research, tools such as Google questionnaires, case studies from various websites, and guidance from
academic advisors were utilized.
A combination of both primary and secondary data was employed to comprehend the relationship between
different variables and to derive meaningful conclusions. Given the academic nature of this research, it is
designed to be accessible to all interested parties, thereby ensuring transparency and avoiding research bias. This
approach was chosen to provide a clear and unbiased understanding of the topic.
DATA ANALYSIS AND INTERPRETATIONS
On an Average 65% people spend between 200 - 800 on expenses other than the movie tickets
Approximately more than 90% people own between 1 - 5 OTT streaming services
This graph shows the annual expenditure people spend on OTT streaming services. 35% of people spend less
than Rs. 1,000 per year. 26% People spend between rs. 1000 - 2000 on OTT streaming services . Over 26.3% of
people spend more than Rs. 500 and above annually on streaming services.
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Over 64% of people have agreed that OTT platforms have improved their access to movies thus explaining that
with the arrival of OTT streaming services, people have increased access to movies, which was previously hard
to achieve.
Over 66% of people have said that they have viewed movies on OTT platforms that previously would not have
watched in cinemas. This shows that with the arrival of OTT platforms peoples access to different genres of
movies is increasing and therefore they are taking risks in watching new content which previously they would
not have preferred.
This graph shows that over 79% of people have shown an increase in viewership of movies with the arrival of
OTT platforms.
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People have ranked the factors for the selection of OTT Platforms-
1st- Cost , 2nd - Sound and Picture Quality , 3rd - Ambience , 4th - Overall Experience and 5th - Convenience
People have ranked the factors for the selection of Movie Theaters -
1st- Cost , 2nd - Ambience , 3rd - Overall Experience , 4th - Convenience and 5th - Sound and Picture Quality
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Over 32.1% of people have said that they will more likely be using OTT platforms than traditional cinemas
whereas 30.9% have chosen to consider both OTT and cinemas.
FINDINGS:
The Findings are as follow:-
1. Shift in Consumption Patterns: Significant shift from traditional cinema to OTT platforms due to
convenience and the impact of COVID-19.
2. Diverse Content Offerings: OTT platforms provide a wide array of content, attracting a broader audience
than traditional cinemas.
3. Technological Advancements: High-speed internet and affordable data plans have driven the adoption of
OTT services.
4. Cost-Effectiveness: Subscription-based models of OTT platforms offer cost-effective entertainment
compared to traditional cinema.
5. Personalized Viewing Experience: OTT platforms use algorithms for personalized content
recommendations, enhancing user satisfaction.
6. Impact on Traditional Cinema: The rise of OTT platforms challenges traditional cinemas, leading to
decreased footfalls and revenue.
7. Democratization of Content Creation: OTT platforms enable independent filmmakers to produce and
distribute content globally without traditional distribution networks.
RECOMMENDATIONS
For OTT Platforms
● Continue creating diverse content (variety of shows and movies) that appeals to a wide audience.
● Consider simultaneous release of new movies on the platform and in theaters to offer flexibility for viewers.
● Enhance user experience by improving content discovery and ensuring accessibility on various devices
(phones, TVs, etc.).
● Develop sustainable monetization strategies, such as subscription fees and ad-based models.
● Expand content offerings to include more languages and cultural perspectives to reach a broader audience.
● Ensure compliance with legal and regulatory standards for content and operations.
● Focus on user preferences and innovative strategies to maintain growth and provide quality entertainment.
For Cinemas
● Offer unique in-theater experiences that cannot be replicated at home, such as large screens and comfortable
seating.
● Collaborate with studios to show exclusive films available only in theaters.
● Stay flexible and adapt to changing conditions, maintaining safety protocols and community engagement.
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● By providing distinctive experiences and staying connected with their audience, cinemas can continue to
thrive alongside OTT platforms.
CONCLUSION
In conclusion, this comparative analysis has shown us the evolving landscape of entertainment consumption,
highlighting the distinct characteristics and uses of OTT platforms and traditional cinema. Our examination
revealed that OTT platforms offer unparalleled convenience and diversity of content, catering to evolving
audience preferences for on-demand viewing. However, traditional cinema continues to provide unique
cinematic experiences and cultural significance that cannot be replicated in the digital realm.
Moving forward, it is imperative for stakeholders in the entertainment industry to embrace digital innovation
while preserving the unique qualities of traditional cinema. Collaboration between OTT platforms and
traditional cinemas, along with strategic investments in content creation and distribution, can foster a vibrant
ecosystem that caters to diverse audience preferences.
In terms of future research, exploring the evolving role of technology, globalization, and cultural factors in
shaping content trends across OTT and traditional film platforms would provide valuable insights into the
continued evolution of the entertainment landscape. Additionally, longitudinal studies tracking changes in
audience behavior and industry dynamics over time could offer further understanding of the ongoing impact of
OTT platforms on the traditional film industry.
Moving forward, it is imperative for stakeholders in the entertainment industry to embrace digital innovation
while preserving the unique qualities of traditional cinema. Collaboration between OTT platforms and
traditional cinemas, along with strategic investments in content creation and distribution, can foster a vibrant
ecosystem that caters to diverse audience preferences.
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